GM to Offer Two Choices: Bankruptcy or More Aid

By

John D. Stoll and

Sharon Terlep

Updated Feb. 14, 2009 11:59 p.m. ET

General Motors Corp., nearing a federally imposed deadline to present a restructuring plan, will offer the government two costly alternatives: commit billions more in bailout money to fund the company's operations, or provide financial backing as part of a bankruptcy filing, said people familiar with GM's thinking.

The competing choices, which highlight GM's rapidly deteriorating operations, present a dilemma for Congress and the...